[amp_mcq option1=”less disposable income” option2=”high disposable income” option3=”federal disposable income” option4=”discount disposable income” correct=”option1″]
The correct answer is A. less disposable income.
Disposable income is the amount of money that people have left after paying taxes. When people have less disposable income, they have less money to spend on goods and services, including loans, homes, and new automobiles. This can lead to a decrease in consumer demand for these products, which can have a negative impact on the economy.
Option B, high disposable income, would actually lead to an increase in consumer demand for loans, homes, and new automobiles. Option C, federal disposable income, is not a valid option. Option D, discount disposable income, is not a commonly used term.